• ProShares Bitcoin Strategy ETF (BITO) has seen its largest inflow in a year, pushing its assets over the $1 billion mark.
• This surge in inflow comes amid a flurry of Bitcoin ETF filings from prominent institutions.
• Eric Balchunas, a senior ETF analyst at Bloomberg, explains that the fund charges 0.95% per year for managing investments and tracks Bitcoin’s price with only a slight lag of 1.05%.
ProShares Bitcoin ETF Tops $1B
The ProShares Bitcoin Strategy ETF (BITO) has seen its largest inflow in a year, pushing its assets over the $1 billion mark. This surge in inflow comes amid a flurry of Bitcoin ETF filings from prominent institutions such as BlackRock and WisdomTree.
Growing Institutional Interest in Bitcoin
The recent news of increased institutional interest for crypto has caught the attention of the crypto community. Investors have put over $65 million into BITO alone this week, which points to growing institutional support for cryptocurrency-based investments.
Performance of BITO
Eric Balchunas, a senior ETF analyst at Bloomberg, explains that the fund tracks the actual price of Bitcoin with only a slight lag of 1.05% per year. The fund also charges 0.95% per year for managing investments; if you invested $100, you would pay 95 cents in fees over a year.
Filing For Spot Bitcoin ETFs
The filing process is now underway as BlackRock and WisdomTree submitted applications to create spot bitcoin ETFs; regulators initially rejected WisdomTree’s application but it was refiled recently due to increasing interest in bitcoin-related products among institutional investors.
Conclusion
Overall, this milestone points to increasing institutional acceptance and investment inflows into bitcoin-related products like BITO as it surpasses $1 billion again this week with an influx of investor money and sets another record high for yearly inflows into the fund.
